In a periodic inventory system, what kind of entry is necessary to record the cost of sales?
A)A closing entry
B)A reversing entry
C)An adjusting entry
D)A transactional entry

Question

Quizplus · Accepted Answer

In a periodic inventory system, an adjusting entry is necessary to record the cost of sales at the end of the accounting period. This adjusts the inventory account to its ending balance and records the cost of goods sold for the period.

In a Periodic Inventory System, What Kind of Entry Is